Thank you very much, Sir. We will now begin the question-and-answer session. We have a first question from the line of Aditya Jhawar from Investec. Please go ahead.

Yes, good morning. Thank you for the opportunity and congrats on a good set of numbers. My first question is on our Lithium-Ion battery pack assembly. Can you throw some more light on it in terms of any commitment from any OEM? Sir, did you mention about the 3 billion order win for e-scooter pack? Can you just throw some light on the margin profile of this business as compared to the main business? And do you expect that the ramp-up in Maxwell could accelerate because we are providing more value-added service?

I will not be able to talk about the margin , as this is sensitive information. But yes, we won a 3 billion order from a leading 2-wheeler EV OEM. This was in April, and definitely this is going to be a huge growth opportunity, not only for two, three , & four-wheelers end use, but also for other industries like telecom, inverters, battery energy storage systems. And we are very excited, it's a forward integration with our own technology from Maxwell because as you know, the battery management system is the heart of a battery pack. I would also request Mr. Pranit Parekar, who is from our s enior management team and a key person for our battery pack plant to explain further on this. He can throw light on what we are doing at the battery pack plant.

We are setting up Plant 1 with two different lines, which are fully automated. One line will be used for cylindrical type of cells, which will be starting from 18650. It can accommodate up to 46120, or even 46133. And the second line will be making packs on the prismatic cells , which will be starting from 50Ah prismatic cells to 675Ah prismatic cell. It is also designed for making packs for 2-wheeler, 3-wheeler, 4-wheeler as well as battery energy storage systems, UPS and telecom battery packs. The line is already getting installed with AGVs, and it is capable of handling low voltage as well as high voltage battery packs. The technology that is being used, it's basically an IP -led technology. The battery is completely designed and developed in-house by Endurance.

You mentioned, about a nother Rs. 300 crore order win on e -4-wheeler application from international customers. So, Valeo and Yazaki, you called out specifically. Can you talk a little bit about what are the products that we are doing for all four of them and which market we plan to supply and little bit more color on the new U.S. and EU OEM?

See, three of the customers which are Valeo and the two other OEMs which I cannot name, but they are leading global OEMs in the world. These are products mainly for EVs. And these are castings like end caps. I cannot mention all these names. T hese are castings required for EVs , very key parts. When the plant is ready to start in September, you all can come and see the plant in AURIC Shendra at Chhatrapati Sambhajinagar. But you can say that most of these orders are for EV platform. Valeo, as I mentioned, is for Mahindra, and functionally extremely important, and it’s a huge opportunity. Let me just tell you, the margins here are much higher. I want to just put this on record.

Sure, so these would be exported to U.S. and Europe, right?

Well, some would be for India , like I said Mahindra , but the other two will be exported. And these customers are not those customers which our European operations are supplying to.

I will start, and I will ask Mr. Rajendra Abhange, our Director & COO, to speak further. These are all the leading OEMs in India , I would just say that for the time being that we very closely engage with them, and as we speak, plant audits have already happened. So, we are at a very advanced stage, but I will request Mr. Abhange to speak on this.

Suspension, is one of the most critical parts for vehicle dynamics , and also for the safety of a passenger vehicle. Our tie up with this company, which is already explained, is one of the leading players of suspension manufacturing, which has delivered over 10 crore shock absorbers all over the world and is a highly experienced company. We joined hands with them sometime in January this year. When we approached the OEMs, they were excited about our association with this company, looking into their profile, and their product lines. There are not many players in this space in India, because these products are not easy to handle by the tier -1 companies. And therefore, there is a huge traction from most of the OEMs. Wherever we have gone, they have welcomed us, and they have actually told us to speed up the development process of these products. So, as you know, this suspension development takes a long time. It has to undergo a lot of vehicle and durability tests. Currently we have 3 programs in discussion, and most of them are going to be very crucial projects. The development time, could be anywhere between 8-12 months. During this period, we will also decide the location of the plant, as it will require a greenfield facility.

Question for Massimo- A fantastic delivery in FY 25 considering the backdrop of Europe. If you can give us some sense, then how should we expect overall industry in FY 26? And what are the big order wins that might come for execution? And what is the growth expected of Endurance European business in FY 26?

The situation in Europe for the next financial year is difficult to predict because of ongoing instability from various factors, including recent tariff escalations. In Q4 FY 25 (January–March 2025), new car registrations in the European Union dropped by 1.9% year -on-year, and according to S&P Global Mobility, production of new light vehicles in Europe is expected to decline by over 2% in the 2025 calendar year. Despite these market challenges, we expect Endurance’s European business to grow. The acquisition of Stöferle that has added €80 million to our revenue, our past performance, and recent business wins, will be the key drivers of our growth. We expect to continue outperforming the industry.

Thanks for the opportunity and congrats on a good set of numbers. Sir, firstly on the Suspension side, you mentioned about the first order for Solar Damper assembly. I just want to understand the size of the order, and what is driving the opportunity in this space, sir?

As you know, we always aspire to diversify our business out of 2-wheeler. One of the area is 4- wheeler, which we already spoke about. But we are also exploring areas which are non -auto. And one of the success stories is that we are getting into the racking system for the solar panels, which is a very high -tech kind of a system that requires to mano euvre the solar panels during the day, and it has to work according to the direction of the sun. So we are going to produce this entire racking system . The technology that we applied is from our knowledge of automotive engineering. It is an extension of what we already know, so it's not very difficult for us. So, no collaboration is needed. The company that approached us is a Spanish company, which is world's third largest solar panel system supplier. It's a global company and all the audits have happened, and we are expecting the commercial production to start in the next quarter from one of our plants for supply to India, Sau di Arabia, and to the United States. So these three areas we will be supplying. On the question about technology, when you speak about what is different than automotive is that these products are, from the size perspective, they are very big, very long, more than the height of a human. And they have to operate in the field for nearly 25 years , without any substantial maintenance. So , we have validated our products , in our labs, with all kinds of tests, according to the customer specifications. All the machinery is getting into place , and the commercial supplies will start within next 2 to 3 months' time. If you ask about the potential, the potential is enormous. But we are going to start in a small way, I would say between Rs. 25 to Rs. 50 crores to begin with. But the potential is to get to over Rs. 500 to Rs. 1000 crores business.

The AURIC plant, I just want to understand how will this ramp up of Rs. 275 crore order would happen ?

The peak of this Rs. 275 crores will reach in FY 27. But as we speak, we are also in touch with other customers to take more orders. And the customers are also in a real hurry to get the supply started. In fact, one of the customers was there last evening at AURIC Shendra, they have done the audit and are quite happy. The trial lots already have started, only that mass production is in September. We are already supplying smaller lots. And , as you know that this has a special process also, which is first time in India . It's a surface treatment process . So, the potential is enormous, but we are going to go step by step. We are very excited about this, and maybe after September 2025, we can invite all of you to come and see the plant.

On the alloy wheel business, this space is seeing a very strong growth led by import substitution. Also, we are seeing that increasing number of players who are entering this space. I just want to understand how this business margins or the ROC E stand versus how the Company currently does?

Our focus is to see that the margins are in line with the Company. That's our target. And we have made a lot of effort based on the product mix and the operational efficiency , to see that we are able to do it. We have gone in for more automation, which requires less dependence on people, which you will see once the plant will start. We are making our full efforts; we have learnt from our experience and seeing that the margins are in line with what we make in the Company. As far as this space is concerned, we are aware of the competition. So, when we take new orders for these alloy wheels, we have full clarity from customers about the competition and their share of business, there is no doubt about that. There may be a number of players, I agree with you, but as far as we are concerned, we have a clear -cut sight of our share of business and volumes, subject to the customers doing those volumes. So, if they do more, we get a higher volume, and vice versa.

So no major margin pressure it would be fair to say sir?

I have always said in the past that price, of course, is very important, but it is dictated by the competition. It is also important to execute your operational strategy to make money - whether it's your raw material purchases, whether it's your operational efficiencies in the plant, your manpower cost. So it's up to you , what is the kind of model which you run? And building on these strengths is what Endurance has done for the last 30 years . Price, of course, is very important, but it’s just not the price. It is a strategy which we have followed both in Europe and India, which makes us a bit different from most others.

On the PSI incentive, the annual number should be around Rs. 870 million and just wanted to check this Rs. 380 million for this quarter, did you include any earlier quarter number as the schemes started from second half? And just in that Rs. 870 million annual number, will be going ahead will be uniformly spread across the quarters or t here would be bunch up in the few quarters?

We did book a total of Rs. 38 crores in Q4, and because, we got the eligibility certificate under 2019 scheme, effective 1st of October, the number is slightly more than the average. T he total eligibility certificate received by us was Rs. 606 crores, and we are expecting that in the year, it should be anywhere in the range of Rs. 65 to Rs. 70 crores, we should be able to book 75 also. Generally, this is a function of the quantum of sta te GST which we are paying . And given the current run rate of how we are paying the state GST, we do expect that in the first 2 quarters, and a little bit in the third quarter, we should be booking that in each year.

Thank you. We have our next question from the line of Pramod Amt he from In cred Equities. Please go ahead.

This is with regard to the Battery Pack. Just wanted to understand what is the value add proportion you are planning in terms of the sales value, and what are these items? Second, what is it you are bringing onto the table in terms of designing battery pack as compared to established players in the system?

There are a lot of technologies that we are bringing on table from E ndurance side. For the uniqueness of a temperature monitoring system, there are multiple patents which are going to be filed, some of them are getting applied also. CCS, which actually does the cell-to-cell contact system, is a unique technology, which allows the connections to hap pen proper ly with the register mapping algorithm and also allows a very high rate of thermal discharge from the cell to the enclosure. These battery packs are very uniquely designed with specific technology that makes it a wire - free battery pack . We do not use wires to connect the cells , or even voltage sensing lines , or temperature sensing lines. Everything is wireless, done through a unique IP-led technology. The enclosure design is also unique, in a way that it allows the thermal propagation or the thermal transfer at more than 5 watts per meter-Kelvin. I know the industry has bigger players in battery industry, but the large unmet need of high quality robustly engineered battery systems is encouraging Endurance, to bring in-house fully developed IP led battery design. There is a huge demand for high quality robustly designed battery packs. Endurance is making batteries that will work for more than 10 years , without having a maintenance to it , and keeping the R&D on continuous path, for making it ready, for next generation battery packs.

Thanks for that explanation and can you give some color in terms of what's a value add as a proportion of the sales value because there's a lot of bought out in terms of sales and all, right?

Value add we cannot tell you, but we can give you, the price range which can go from 25,000 to 45,000. Let Pranit answer, what is the normal range for 2-wheelers, 4-wheelers?

For two-wheeler battery packs, which start from, Rs. 15,000 a kil owatt, and it goes up to Rs. 45,000 - 50,000 for packs like 4 , 5, 6 kilowatts worth. And for 3 kilowatts, the major Indian market is on 5 kilowatts to 15 kilowatts , which starts from Rs. 30,000 to Rs. 1 lakh per battery pack. And if you ask me about the value add, it's basically the quality and a strategically developed supply chain, with good partners for cell supplies, as well as keeping it on very high level negotiations on the cell values and proposition for OEMs , so that the volumes which are increasing in India, will be supported by Endurance.

Sure. And the cells, you will procure them, or the OEM will approve it and you will be just procuring from those sources? How does it work?

We will be designing the pack . There are 2 ways to do the battery pack : one is basically built- to-print and the second is basically built-to-spec. The orders which we are right now getting are built to spec, so that the design and the cell selection, as well as our proprietary BMS is basically selected by Endurance. We have strategic tie-ups with cell manufacturers from China, South Korea, Japan as well . We are also talking to the companies which will be making cells in India. We are very aggressive in having a supply chain managed in such a way that we should give a very big advantage in terms of costing to our OEM partners.

With regard to KTM supplies, considering that KTM itself is going through a restructuring, you have any direct exposure there and how do you look, do you have to make a provision there per se or not expect?

In fact, we have already made a provision of Rs. 5.3 crores in Q4 FY 25. Going forward, we are not worried because as far as the assets are concerned, if something goes wrong, they are very flexible, they can be used for other OEMs, we are not worried . Inventories also, it is not such a figure that we are alarmed about. But having received this first set of firm orders, we are quite confident that some good things will happen. So I think, we will be knowing this after 23 rd of May, when the last court hearing is held.

With regard to the EV Castings. As you disclose the name of Valeo, which seems to be in the e- axles or transmissions of the EVs . So you're making more inroads into E V axles? Is that fair understanding on castings?

It's not only axles, but also other Casting products. Because for the other 2 customers, it is other Castings. It is not for e-axles, there's a huge range and this is really a very exciting opportunity. It's a new world we are entering , we are very strong on casting as you know- engineering, our own tool room, we are very strong there.

It is not just the drivetrain products, i t's also the other parts of the vehicle. Because in EV, aluminum content is very high.

Your key customer profile for FY 25, the big jump seems to be the VW Group per se, moving to emerge as the second largest for you. What has gone right for you to win there, and what's the headroom you expect there? Because it's a big entity to approach and there's a lot of headroom for you to grow there. So how are you looking at it as an opportunity?

Okay, now when we speak about Volkswagen Group, it is 25% of our total Europe turnover- we have 5% of Audi, 9% of Porsche, and the balance is other Volkswagen Group brands. Because as you know, we produce internal combustion engines , transmission components, and electric components for all the brands of Volkswagen, including Skoda . So, we are not worried about the situation for the future also, because we are speaking about our brand being very strong in the European market. For sure , at the moment, some brands are suffering from the China situation as Porsche & Audi, and from the duty in United States. But despite the reduction of registration compared to the previous year, we grew 60% with the Volkswagen Group due to the start of production of the business in the electric field that we acquired in the last 3 years. And we started in the previous financial year with this new business- the total amount is €17 million. Our expectation is to keep growing and we will grow in the next Financial Year as well.

Thank you. We have our next question from the line of Arvind Sharma from Citigroup. Please go ahead.

On the India business, what are your CAPEX plans for FY 26? And also given that there is so much CAPEX E ndurance is doing on 4-wheelers and non -autos, what would be the broad direction impact on returns and margins?

If you see our presentation, we have invested close to Rs. 611 crores in FY 25. And quite a few of them are growth and strategic projects which are still in their gestation period. So, there will be investments in FY 26 also to complete those projects, which are our AURIC Shendra, AURIC Bidkin and also certain investments for the Battery Pack which we have announced . I will not be able to give you the exact number, but it is going to be a significant number of CAPEX even in FY 26. As the Managing Director mentioned, quite a few of these projects are starting their start of production in the second half , and also the t hird, fourth quarter of this year . That would mean better revenue as we go forward, and given that quite a few order wins of about Rs. 3,500 crores of the past have seen the SOPs in FY 25, and also another 30% are seeing the start of production in FY 26. All these augurs well for our revenues, and also the bottom line in the coming year. All the investments we are making in the past will see some effect in FY 26, but definitely much bigger effects in FY 27, and going forward.

Also, the product mix is improving.

For Europe, if you could just share the revenue and EBITDA, as well as a broad outlook for the European markets, including the Stöferle acquisition.

We closed the previous quarter with € 80 million turnover, compared to €68.3 in the previous financial year with an increase of €11.7 million, means 17.1% of increase in terms of turnover. We closed the EBITDA with €14.7 million, which means 18.4% compared to €12.2 million of the previous financial year with an increase of 21.1%. In terms of net results, we closed with 4.8 million, 5.9%, with an increase of 19.5%, compared to the previous year. Speaking about the total financial year, the Company closed for the first time with €304 million, with an increase of 15.5% , compared to the previous year. The EBITDA was €51.1 million, which means 16.8% in total financial year, more than 20% compared to the previous year. And the net result was €16.3 million, which means 5.4%, with an increase of 16.9% compared to the previous financial year. This quarter was, from my point of view, the best in the history of Endurance Overseas in terms of technology, and also in terms of profitability , because if I do adjustment of the energy costs and also the increase of the material cost, the EBITDA should have been more or less 19% or 20%. So it's a very good performance and the expectation for the future months is to try to maintain this performance. We are optimistic that we can maintain the profitability we have had in the previous financial year, and for sure improve the situation.

Thank you. We have our next question from the line of Aniruddha Mane from Standard Chartered Bank.

Thank you so much for the opportunity. And congratulations on a good set of numbers . I had just one question to understand. Basically, at a consolidated level, what sort of revenues would be driven from the US markets which might get affected because of possible tariff implications?

In India, we don't see anything. But for Europe, I can request Mr. Massimo Venuti to speak. As I mentioned in my opening remarks, there could be some of our products going into premium cars, which may be exported to the US.

We do not have direct sales towards US, so the effects are all indirect , for vehicles sold in U S by European carmakers. A rough estimation of the effects on sales could be about 20/30 €/mn particularly for Porsche applications.

Thank you. We have our next question from line of Niril Parekh from Awirga Capital Advisors. Please go ahead.

I have two questions, both on the Europe geography. First one is with respect to the acquisition we did of Stöferle . It has 60% of its revenue where it is the sole supplier. For the last 3 years, based on my rough calculations, we were growing Europe geography sales at around 8% -10%. With this acquisition, and cross-sell opportunity for the next 3-5 years of the combined business, do you foresee a better high to mid-teen level of growth?

With the consolidation of Stöferle, our growth will have an immediate boost for its contribution to the consolidated revenues after we will track the market to try to perform better but it is still unpredictable. With large orders recently booked, we are expecting to grow faster than the market, even without Stöferle.

Are we in active talks with any of the Chinese OEMs and have you received any SOP?

So Niril, right now we do not have orders from Chinese OEMs, but yes there are some Chinese OEMs with whom we are in discussion.

Thank you. On behalf of Axis Capital, that concludes this conference. Thank you for joining us and you may now disconnect your lines.